A drop in defined benefit (DB) transfer values and a “dramatic” fall in advisers has caused members who may have benefitted from a pension transfer to lose out, according to Lane Clark & Peacock (LCP).
The consultancy said the pension transfer market is experiencing a "slump" as DB transfer values have "plummeted" and nearly 2,000 advisers have left the market in the last four years. The firm said members may miss out on benefits of transferring due to the smaller pool of advisers, as well as transfer values dropping from around £250,000 at the beginning of 2022 (for a member aged 55 with a pension of £10,000 per year from 65) to around £130,000 now. LCP said this drop reflects a rise in gilt yields. Research by LCP also found the number of members transferring is at an "all time lo...
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